Member Info for PS65

Is today the actual deadline? The RNS was on Friday 4th, so I was thinking 14 days takes it to Friday 18th.

Having re-read the RNS it says "DX will send a copy of the Reasons to shareholders within 14 days of their receipt." and "Grant Thornton has provided the Company with the reasons connected with its resignation" but it doesn't actually say what day they received the reasons, so I'm not really sure when the deadline is?

Just a thought on the corporate governance issue that we have not been given details of, could it be something out of the company's hands that they are not allowed to discuss. Perhaps a police investigation for example. They would be unable to force the police to complete their investigation quicker, just because their accounts are due. And maybe there are not allowed to discuss it because it might affect the outcome of the investigation. Just a thought I had, again it's speculation and there's nothing to support this theory but it could be something like this preventing information being released.

Certainly is an interesting RNS. I may have misunderstood your comment Bod, but to me it sounds like Gatemore/Liad do want dividends/share buy back and are maybe disappointed it's not happened sooner. Maybe the board have been conservative, no point paying a dividend to then ask for it back in a share issue to fund the expansion. I hope Gatemore don't try to drastically change the board, I'd strongly reconsider my holding if they did.

I find Firebalde23's comment:

"And as for “Lloyd is an astute businessman “ I would not trust him to run a bath."

rather strange. Have you looked into Lloyd's previous history? (easily available). He ran Nightfreight, built it up and sold it. He then went to Tuffnells, took it from loss making to very profitable and again sold it. Now he's invested significantly in DX and again took it from loss making to profitable. I don't really see an issue in trusting Lloyd from this perspective, perhaps your issue is personal?

I've just added too as a result! 2 Directors and Lloyds bought over half a million!

In other news.... TNT, which is owned by FedEx, has an exclusive contract to deliver travel documents for the UK Passport Office (won from DX) has apologised amid reports that people are facing lengthy delays receiving their passports and some have had to cancel travel plans in the run-up to Christmas.
Interesting... perhaps an opportunity for DX to win the work back...

Thanks for the welcome Ports. I’ve been into DX for a few years now and reading the comments but didn’t particularly feel the need to comment until it was mentioned the delay to the accounts/audit was due to significant and negative breaches (something I felt was certainly wrong and could unfairly panic other investors)
It’s difficult to explain the timing from the outside, perhaps Newstead thought he’d just get a slap on the wrists, who knows. There’s also a chance a significant part of the audit has been done, as the partner only really gets involved in the planning and signing off.
Perhaps other staff and Partners have been taken off other jobs to finish off his audits. They would probably have to re-do his work and maybe do extra work as there is a good chance of the files being inspected.
Interestingly the audit partner last year was James Ledward, however it is standard practice to swap the auditor every few years anyway to have a fresh set of eyes, so there’s no saying he would be the auditor this year.
I would think DX would push for filing before the deadline, however realistically the penalties for being late would be insignificant in the grand scheme of things anyway (£750 for 1 month upto £7,500 for 6 months)
I agree it’s disappointing to see the SP slide the way it has, however I am in for the medium to long term so I am fairly comfortable as I think this is temporary. Lloyd has a history of building these companies up and selling on. He founded Nightfreight, made it extremely profitable and sold it to DX. He then took over at Tuffnells, took it from losing money to decent profits and then sold it to Connect Group. Now he has put millions of his own funds into DX, and again has turned it around from big loss making to profitable. He owns >10% of the company and hasn’t sold a single share, this tells me he knows there is more to come from this.

As a former auditor I don't find it particularly concerning, it is not uncommon for an audit to be delayed because of issues beyond DX's control. David Newstead has been banned from completing audits for 3 years as a result of the poor Patisserie Valerie audits. Even if he is not the audit partner for DX it has a knock on effect within Grant Thornton.
The RNS from DX on 06/10/21 relieves any real concerns I may have had, it states:
"notification by Grant Thornton of internal resource issues and Grant Thornton's need to replace the Statutory Auditor"
"The Board expects to report final results for the year ended 3 July 2021 in line with previous guidance "
"There have been no material audit issues raised to date by Grant Thornton"
The delay is quite clearly due to internal issues within Grant Thornton, not related to DX's accounts.
DX would not be able to release a formal statement stating this if it were not true, the reporting requirements for listed companies are very strict.
If they did release a statement stating there were no audit issues raised by the auditor, and this were not the case, Grant Thornton would be legally required to release their own statement in disagreement. Having not done so, then this shows that the auditor has not found any issues on the accounts.
A little patience is required here I believe, I know we are all keen to see the results for the year but quite simply they are not allowed to release these until audited. They still have the same management in place that has turned the company around very impressively, the trading updates are good (even if a little vague) and they are continuing with the depots expansion. Personally I do not see anything here that raises red flags for me.